Definition: The risk-free rate of return is a theoretical rate of return on an investment with no risk.
Advice: The risk-free return is usually considered to be the return offered on treasury bills. The reason for this is because the government is considered to be the most creditworthy borrower and you are absolutely guaranteed to get your principal back when you invest in these.
Historically, the risk-free rate has been around 3.5-4.5% and is influenced by interest rate movements.
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hemavati said:
can i know as on date what is risk free rate of return
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